Manners Paul & Associates Inc

5. Fees and Compensation

The fee schedule for these services is 1.00% per annum on assets up to $2,000,000, 0.75% per annum
on assets between $2,000,001 and $5,000,000, and 0.50% per annum on all assets in excess of
$5,000,000. Fees are negotiable. These fees are assessed quarterly in arrears based on the value of the
assets under management on the last day of the quarter, prorated for capital flows that occur during the
quarter. The fees are deducted from client assets at the end of the quarter unless the client requests to
pay by check upon receipt of physical bill via mail. Client or advisor may terminate the contract at
any time by providing written notice to the other, and client is responsible for all unpaid fees due
through the date of termination.

The firm seeks to provide a high degree of transparency with regard to fees and expenses. Clients
receive a confirmation of each transaction clearly disclosing the commission, and monthly statements
summarizing all activity and charges. In addition to advisory fees charged by Paul Manners &
Associates, Inc., there may be additional charges resulting from custodial fees, mutual fund expenses,
brokerage commissions, etc. All fees paid to the Firm for investment advisory services are separate
and distinct from the fees and expenses charged by mutual funds to their shareholders or the transaction
fees charged by the custodian(s). Mutual fund expenses are described in each fund's prospectus. These
expenses will generally include a management fee, other fund expenses, and possibly a distribution
fee.

7. Types of Clients

Most of the Firm’s clients are wealthy individuals and families. Many have maintained accounts with
the Firm for many years. The Firm also manages portfolios and provides investment advice for
financial institutions, charitable foundations, and trusts. The Firm generally requires a minimum of
$500,000 to open an advisory account. It believes that this is the minimum amount required to

successfully execute its investment strategies for an individual portfolio. However, smaller accounts
may be accepted at the discretion of management.